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[quote=snaggletooth][quote=NOVA]what’s the other? I heard it’s a cross between A and C shares. You get roughly 2% up front and 1/2 pt trail.

It's called K shares. They do pretty much exactly what you said. They are the best thing to build your book of business on.[/quote]
Which fund families offer K shares?[/quote]
All the best ones...American Funds, Franklin Templeton, and the other 6 fund families out there we talked about earlier.

Yes, there is a 2% load and 2 year cdsc. This is why they are the best for building a book business...since they pay a trail as well.
The smartest thing to do is use them in wrap accounts. That way you get the 2% upfront plus the wrap fee...and your trails are higher.

Yes, there is a 2% load and 2 year cdsc. This is why they are the best for building a book business...since they pay a trail as well.
The smartest thing to do is use them in wrap accounts. That way you get the 2% upfront plus the wrap fee...and your trails are higher.[/quote]Snags, you charge a front end load AND a wrap fee AND collect trails all on the same assets? Am I missing something or are you being sarcastic?

Yes, there is a 2% load and 2 year cdsc. This is why they are the best for building a book business...since they pay a trail as well.
The smartest thing to do is use them in wrap accounts. That way you get the 2% upfront plus the wrap fee...and your trails are higher.[/quote]Snags, you charge a front end load AND a wrap fee AND collect trails all on the same assets? Am I missing something or are you being sarcastic?[/quote]
Yeah I was just making a joke the whole time. Of course there's no such thing as K shares (I don't think). I was trying to mess with the original poster.

One thing that everyone needs to keep in mind - there is a pretty good chance that a large part of the trails associated with these share classes goes away by the end of the year, with the SEC working on it and making it a priority as they are doing. One of the proposals set forth that many people think has a good chance of passing, is capping the trails you can collect over time on C shares, with a limit of the amount of up front load you would have collected hhad you done A shares. Sort of like the American Funds C shares, which convert to F shares (25 bps trail) after 10 years. Except it would be a lot less than 10 years.

The only way we will retain any pricing power in the future is by using fee based platforms. Anything else takes the pricing power out of our hands.

Yes, there is a 2% load and 2 year cdsc. This is why they are the best for building a book business...since they pay a trail as well.
The smartest thing to do is use them in wrap accounts. That way you get the 2% upfront plus the wrap fee...and your trails are higher.[/quote]Snags, you charge a front end load AND a wrap fee AND collect trails all on the same assets? Am I missing something or are you being sarcastic?[/quote]
They are actually KY shares for that wrap program!
[/quote]
And, for another 1%, the client can request a reach-around.

Yes, there is a 2% load and 2 year cdsc. This is why they are the best for building a book business...since they pay a trail as well.
The smartest thing to do is use them in wrap accounts. That way you get the 2% upfront plus the wrap fee...and your trails are higher.[/quote]Snags, you charge a front end load AND a wrap fee AND collect trails all on the same assets? Am I missing something or are you being sarcastic?[/quote]
They are actually KY shares for that wrap program!
[/quote]
Ice, I guess you do need something to ease this process...